How far were the 1930s really ‘the hungry thirties’?

Learning objective – to be able to assess the impact of the economic policy of the British government during the 1930s. I can describe some of the key features of the British government’s economic policy of the 1930s. Grade D I can explain the impact of the British government’s economic policy of the 1930s. Grade B I can explain and assess the economic performance of the British government of the 1930s. Grade A

Starter – What can you learn from this photograph?

Why are the 1930s referred to as ‘the hungry thirties’? The term ‘the hungry thirties’ refers to the 1930s being a period of depression and high unemployment. This was partly a political term begun by left wing historians in the 1940s wanting to darken the name of the Conservative Party , who they blamed for devastating economic slump of the early 1930s. Modern historians have countered this view arguing that it is too simplistic. They argue that there was no single trend that identified that most people suffered a decline in living standards in this period. A commonly held view now is that the impact of the depression on Britain was uneven. The areas that were hit the hardest were those that centred on the staple industries, such as coal in the north and in south Wales, textiles in Yorkshire and shipbuilding in Scotland and the Tyne. While these areas suffered from high unemployment, areas such as London and the south east remained prosperous as consumer industries enjoyed boomed. This encouraged the two nations view of poor and rich and north and south.

What was the pound devalued in 1931? The Great Depression led to a fall in exports by 50% and unemployment rising to 2.5 million in 1930. The government cut spending and maintained high interest rates to preserve the value of the pound, which was still attached to the Gold Standard. This policy divided the Labour government, who resigned which led to the formation of the National Government in 1931. The National Government removed the pound from the Gold Standard and devalued the pound.

What was the impact of the pound being removed from the Gold Standard in 1931? The removal of the pound from the Gold Standard allowed for a quicker recovery from the depression compared with other countries. The key features of this recovery are – Unemployment fell from 17% to 8.5% between 1932 and 1937. Interest rates were cut leading to greater borrowing. This policy was called ‘Cheap Money’. Greater borrowing triggered a boom in mortgages and house building. Exports were cheaper as prices of British goods fell by 45% and sales went up by 28%. Industrial production rose by 46%.

Main task Form groups of three. Read the statements below. Each statement is a different judgement on the British economic policy of the 1930s. Each person in the group chooses a statement from below and writes, in bullet points, a summary of the evidence that supports the argument. You can use the text book, handouts and this PowerPoint to help you gather the evidence you need. Government economic policy in the 1930s was successful and limited the impact of the Depression. Government economic policy in the 1930s did not do enough for the more deprived areas and recovery was uneven. The recovery of the British economy in the 1930s was due to good luck rather than government policy. Extension task Which statement is the most convincing? Explain your answer.

Home learning task Pair up with another member of the class. Here are two events that relate to the British economic policy of the 1930s. Between each pair, choose who is going to research which event. The policy of Cheap Money. The Special Areas Act of 1934. Your task is to produce a one page summary of the events using bullet points and divided by sub-headings. This is to be exchanged with your partner next lesson.

Plenary This word cloud summarises the content of the British government’s economic policy of the 1930s In pairs, find the 13 terms in the word cloud and using the PowerPoint and the sheet given to you, list the 13 terms and, for each term, write their relevance to the British economic policy of the 1930s.

Terms Jarrow March Recession Unemployment Cheap money Housing boom Mortgages Gold Standard Devaluation Interest rates Special Areas Act Hunger marches Exports Production